Interest rates for both monthly- and annual-adjusting [tag]Home Equity Conversion Mortgages[/tag] (HECM) dropped significantly in the most recent week. Both rates, however, remain well above their averages for the year.

[tag]Reverse mortgages[/tag] are specialized [tag]mortgage products[/tag] available only to [tag]senior citizen[/tag] homeowners. HECMs are the most popular type of reverse mortgage. Interest rates for both annual- and monthly- adjusting HECM loans are indexed to the one-year constant maturity [tag]US Treasury rate[/tag].

Under a reverse mortgage, the lender makes loan payments to the borrower and the loan is repaid when the house is sold or the homeowner dies. The monthly or annually adjusting interest rate determines how fast the loan balance grows.

Rates on the [tag]Fannie Mae[/tag] Home Keeper, another reverse mortgage program, dremained at 8.625%.

Reverse Mortgage Rates
Product	This Week	Last Week	52-Week Avg	52-Week High	52-Week Low
HECM Monthly Adjusting	6.50%	6.57%	6.34%	6.77%	5.80%
[tag]HECM[/tag] Annual Adjusting	8.17%	8.15%	7.94%	8.37%	7.40%
[tag]Fannie Mae[/tag] [tag]Homekeeper[/tag]	8.625%	8.625%	8.31%	8.75%	7.50%

Visit our reverse mortgage interest rate tool for further information and analysis.

Social tagging: Reverse Mortgage Rates

A Few More Related Articles of Interest:

HECM Rates Rise Slightly

HECM Expected Interest Rates and the CPI

Reverse Mortgage Rate Analysis - Monthly vs Annual HECM

Reverse Mortgages and the Housing Bubble

FHA - Federal Housing Administration